Such cases are very common in today’s time. Gone are the days when Indians used to think twice before going into debt. The growing consumerism has made Indians open to the idea of loans, and the banks are aware of this.

However, it’s important to start with a word of advice. Since banks are aware of the growing need of loans and in most cases the immediateness of it, which can work against the Indian consumer. As a rule, it’s important that a consumer not settle for the very first loan he has been shown. This is because; in most cases this would not be the best deal available with the bank. There is a huge possibility that a more expensive deal has been showcased by the bank, to take advantage of the situation. However, it’s important to go through the whole pile and find out the best deal for yourself, than to let another individual decide for you.

So, buckle up, and read on the some of the most important things one needs to know about loans.

Why the focus is on personal loan

The Banker knows much more than you. He/she also know that they run a higher risk of default by giving away a loan without knowing the uses a consumer would put it to. However, in those cases, the interest rate charged is high and hence, the return is also higher. Hence the banks focus on personal loans.

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